Financial Markets

Insurance fund custody

Introduction of Business      Features of Service

Introduction of Business

It refers to the business that IB signs custody agreement with insurance companies or insurance assets management companies to host insurance fund and safeguard legal rights of principals. The custody products include securities, bonds, funds, financial derivatives and other assets custody, insurance wealth management product custody, custody of innovative collective investment products from insurance assets management companies, custody of indirect investment to infrastructure with insurance fund, custody of assets securitization investment with insurance fund, custody of real property investment with insurance fund, custody of equity investment with insurance fund and other services.

Features of Services

At present, the main product under custody is infrastructure debt investment plan with insurance fund which features:

1. Long term: generally 5 years or longer

2. Low interest rate: Lower than loan interest rate at banks of same term

3. Large amount: usually over 1-1.5 billion Yuan for single business

4. Limited influence from credit policies: supervised by CIRC

5. Investment purpose: project construction, loan replacement and other purposes

6. Follow-up supervision: comparatively loose